Wednesday, February 04, 2009

Tough budget anticipated Mayor defends council’s handling of the budget

John Moorhouse Wednesday, February 4, 2009

Mayor Dan Ashton used a newspaper editorial to warn of the tough budget decisions facing Penticton city council. However, he said council is still waiting for more input before beginning its 2009 budget deliberations – almost a month after a draft budget suggested possible job cuts and a 2.37 per cent tax hike to cover existing debt expenses. Commenting at the close of Monday night‘s council meeting, Ashton quoted directly from a recent editorial in the Vancouver Sun on the impact of the economic downturn on the City of Vancouver budget. The paper said the “recession bites taxpayers too” and suggested the city needed to rein in its spending while review its operating budget line by line to find ways of trimming excess expenses. Ashton said the same holds true for Penticton. “This is no different than what every community in this province, and probably Canada and the world, is facing,” he said. “We have to look at everything – and we are going to look at everything.”

“It‘s tough, not only on the employees of the City of Penticton. It‘s tough on the citizens that are facing the downturn and what could be a bit of a prolonged recession.” Ashton said council is being very proactive by seeking input from its employees and the public before beginning actual budget deliberations in conjunction with recommendations from senior management staff.
The City of Penticton has about 165 year-round employees, with more than 280 on the payroll in the summer months as seasonal staff are hired for parks and public works. “We‘re challenging them to come forward with everything they can think of to help offset any increases that have to be passed along to each and every individual within this community,” Ashton said. Council was scheduled to meet Tuesday with staff in a closed-door session to discuss the city‘s operating expenses. A similar meeting was held last week. Ashton said council plans to review all budget areas. “We‘ll be looking at each and every item and how we can make it…more efficient so we do not have to continually go out to the taxpayers with our hat in hand, asking to fund additional operating expenditures.”

Ashton added there have been questions about leadership circulating within the community over the budget crunch. “Being the mayor, I guess I‘ll take those on the chin,” he said. “But I‘ll tell you, this council has been more progressive than any council I have been on in 10 and a half years, in looking at the budget.” Ashton wouldn‘t be pinned down on when council will start its actual budget deliberations, stating only that they will begin as soon as possible. He suggested an announcement could be forthcoming by the next council meeting on Feb. 16. City administrator Leo den Boer said a hiring freeze has been implemented, as well as cost-cutting measures such as a curtailment of holiday relief work. Patti Finch, president of CUPE Local 608, could not be reached for comment Tuesday. Further public input is still being sought. Budget comment forms are available at City Hall or through the cityÕs website at www.penticton.ca.
----------------

Mayor defends council’s handling of the budget

Mayor Dan Ashton defended his leadership and council’s approach to the budget process at Monday’s council meeting. “I challenge those that state there is a leadership issue. I think this council has been very proactive,” said Ashton, referring to reports that came to council internally. “This council is taking a far deeper look at what transpires in this city, in conjunction with the senior staff members, and I am hoping that everybody gets on board from those where the rubber hits the road which is the individual members of the CUPE union up to the senior management.” Council had encouraged residents and city employees to share their ideas on where the cost savings for the upcoming budget deliberations could come from either in person during a series of open house meetings held a few weeks ago or through written correspondence with council. City workers showed their concern after the initial draft of the budget proposed labour cutbacks. Since then, council agreed on a motion directing staff to work on a draft that would equal the employment levels of the 2006/2007 budget. Currently there are 165 employees (280 including seasonal) and council ordered a freeze on hiring in December. “There have been some reports that have come internally and some questions about leadership and being the mayor I guess I will take those on the chin, but I will tell you that this council has been more progressive than any council that I have been on in 10-and-a-half years with the city of Penticton in regards to looking at the budget,” said Ashton.

The mayor said this is a tough situation and staff will be looking at everything line by line as they bring a budget package forward for council to deliberate on. He encouraged comments and suggestions to be submitted to the city by e-mail, by mail or by visiting city hall and filling out a comment sheet. “We are challenging (citizens) to come forward with everything that they can think of to help offset any increases … so we do not have to continually go out to the taxpayers, with our hat in hand, asking to fund additional operating expenditures of the city,” said Ashton. Council and staff scheduled their second closed meeting to the public for Tuesday to go over suggestions and input on the budget. Ashton said at the council meeting on Monday that he expects an announcement to be made either before or at the next regular council meeting of when the budget will be available for in a public forum. “The quicker the better for all of us. This hasn’t been normal and staff have been working very progressively to try and meet some of the demand made form the community and this council,” said Ashton.

No comments: